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Exam 9: Production and Operations Management

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Question 141

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Despite its early promise, computer-aided design has not met with much success in increasing productivity.

A) True
B) False

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Question 142

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Statistical quality control (SQC) is the process some managers use to continually monitor all phases of the production process to assure that quality is being built into the product from the beginning of the production process.

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B) False

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Question 143

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utility is the value added by the creation of finished goods and services using raw materials, components, and other inputs.

A process manufacturing layout is frequently used in operations that serve different customers' different needs.

Compared to PERT networks, Gantt charts provide a more basic way to track progress on a given project.

Computers and robots are only useful in continuous production processes where the same type of product is produced many times.

A fast-changing plant needs a fast-moving employee base to achieve maximum productivity.

Businesses that provide services typically cannot use mass customization because services are not tangible products that can be customized.

In an assembly line manufacturing layout workers do only a few tasks at a time.

Lean manufacturing is a strategy of producing standardized products that have no frills or extra features in order to keep prices low.

Trace and Tim own a company that rehabs old houses. Prior to buying a house, they use software to create and design the renovation of each room. The program provides them with an estimation of how much of each kind of material is needed, and the orderly progression of tasks that need to be completed. Trace and Tim use computer-aided design.

Alex is a production manager who believes his firm uses more of all types of resources than is necessary to produce its products. He would like to find a way to cut back on labor, and reduce the firm's investment in tools and space as well. It seems that Edwin would like to adopt:

In a just-in-time inventory system, the producer holds large quantities of the materials and components used in the production process in its inventory to ensure that it always has enough on hand.

is the process of selecting a geographic location for a company's operations.

Contemporary manufacturers in the U.S. lack the flexibility to use intermittent production processes.

A disadvantage of flexible manufacturing systems is that they usually require a great deal of labor because machines are rarely capable of handling a wide variety of tasks.

Operations management converts resources into goods and services.

Today, rather than purchase goods and services from a large number of firms, manufacturers often try to develop a close relationship with one or two key suppliers.

Education and training are less important to workers in the service sector than to workers who have jobs in the manufacturing sector.

Impact Computers wants to set up a planning system that enables it to integrate its production and operations system with those of its suppliers. As its operations management consultant, you explain that it needs a Material Requirement Planning (MRP) system.